MESSAGE NO: 4074111 DATE: 03 15 1994
CATEGORY: ADA TYPE: ORD
REFERENCE: REFERENCE DATE:
CASES: A - 351 - 820 - -
- - - -
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PERIOD COVERED: 05 08 1993 TO 08 15 1993

LIQ SUSPENSION DATE:

TO: REGIONAL DIRECTORS, COMMERCIAL OPERATIONS
DISTRICT DIRECTORS, AREA AND PORT DIRECTORS

FROM: DIRECTOR, TRADE COMPLIANCE DIVISION

RE: ANTIDUMPING DUTY ORDER ON FERROSILICON FROM BRAZIL
(A-351-820)


1. THE DEPARTMENT OF COMMERCE (DOC) HAS PUBLISHED IN THE FEDERAL
REGISTER ON MARCH 14, 1994, NOTICE OF ITS ANTIDUMPING DUTY ORDER
OF FERROSILICON FROM BRAZIL.

2. THE MERCHANDISE SUBJECT TO THIS ANTIDUMPING DUTY ORDER IS
FERROSILICON, A FERROALLOY GENERALLY CONTAINING, BY WEIGHT, NOT
LESS THAN FOUR PERCENT IRON, MORE THAN EIGHT PERCENT BUT NOT MORE
THAN 96 PERCENT SILICON, NOT MORE THAN 10 PERCENT CHROMIUM, NOT
MORE THAN 30 PERCENT MANGANESE, NOT MORE THAN THREE PERCENT
PHOSPOROUS, LESS THAN 2.75 PERCENT MAGNESIUM, AND NOT MORE THAN
10 PERCENT CALCIUM OR ANY OTHER ELEMENT.
FERROSILICON IS A FERROALLOY PRODUCED BY COMBINING SILICON AND
IRON THROUGH SMELTING IN A SUBMERGED ARC FURNACE. FERROSILICON
IS USED PRIMARILY AS AN ALLOYING AGENT IN THE PRODUCTION OF STEEL
AND CAST IRON. IT IS ALSO USED IN THE STEEL INDUSTRY AS A
DEOXIDIZER AND A REDUCING AGENT, AND BY CAST IRON PRODUCERS AS AN
INOCULANT.

FERROSILICON IS DIFFERENTIATED BY SIZE AND BY GRADE. THE
SIZES EXPRESS THE MAXIMUM AND MINIMUM DIMENSIONS OF THE LUMPS OF
FERROSILICON FOUND IN A GIVEN SHIPMENT. FERROSILICON GRADES ARE
DEFINED BY THE PERCENTAGES BY WEIGHT OF CONTAINED SILICON AND
OTHER MINOR ELEMENTS. FERROSILICON IS MOST COMMONLY SOLD TO THE
IRON AND STEEL INDUSTRIES IN STANDARD GRADES OF 75 PERCENT AND 50
PERCENT FERROSILICON.

CALCIUM SILICON, FERROCALCIUM SILICON, AND MAGNESIUM
FERROSILICON ARE SPECIFICALLY EXCLUDED FROM THE SCOPE OF THIS
ORDER. CALCIUM SILICON IS AN ALLOY CONTAINING, BY WEIGHT, NOT
MORE THAN FIVE PERCENT IRON, 60 TO 65 PERCENT SILICON AND 28 TO
32 PERCENT CALCIUM. FERROCALCIUM SILICON IS A FERROALLOY
CONTAINING BY WEIGHT NOT LESS THAN FOUR PERCENT IRON,60 TO 65
PERCENT SILICON, AND MORE THAN 10 PERCENT CALCIUM. MAGNESIUM
FERROSILICON IS A FERROALLOY CONTAINING, BY WEIGHT, NOT LESS THAN
FOUR PERCENT IRON, NOT MORE THAN 55 PERCENT SILICON, AND NOT LESS
THAN 2.75 PERCENT MAGNESIUM.
FERROSILICON IS CLASSIFIABLE UNDER THE FOLLOWING SUBHEADINGS OF
THE HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTSUS):
7202.21.1000, 7202.21.5000, 7202.21.7500, 7202.21.9000,
7202.29.0010, AND 7202.29.0050. THE HTSUS SUBHEADINGS ARE
PROVIDED FOR CONVENIENCE AND CUSTOMS PURPOSES. OUR WRITTEN
DESCRIPTION OF THE SCOPE OF THIS ORDER IS DISPOSITIVE.

FERROSILICON IN THE FORM OF SLAG IS INCLUDED WITHIN THE SCOPE
OF THIS ORDER IF IT MEETS, GENERALLY, THE CHEMICAL CONTENT
DEFINITION STATED ABOVE AND IS CAPABLE OF BEING USED AS
FERROSILICON. FERROSILICON IS USED PRIMARILY AS AN ALLOY AGENT
IN THE PRODUCTION OF STEEL AND CAST IRON. IT IS ALSO USED IN THE
STEEL INDUSTRY AS A DEOXIDIZER AND A REDUCING AGENT, AND BY CAST
IRON PRODUCERS AS AN INOCULANT.

3. FOR FURTHER REPORTING PURPOSES, THIS CASE HAS BEEN ASSIGNED
INVESTIGATION NUMBER: A-351-820. THIS NUMBER SHOULD BE USED
WHEN DEALING WITH THE DEPARTMENT OF COMMERCE ONLY.

4. THE INTERNATIONAL TRADE COMMISSION (ITC) FOUND THAT A U.S.
INDUSTRY IS MATERIALLY INJURED BY REASON OF IMPORTS OF
FERROSILICON FROM BRAZIL THAT ARE SOLD IN THE UNITED STATES AT
LESS THAN FAIR VALUE.

5. IN ITS FINAL DETERMINATION, DOC FOUND THAT CRITICAL
CIRCUMSTANCES EXISTED WITH RESPECT TO EXPORTS FROM BRAZIL BY
ITALMAGNESIO S.A. INDUSTRIA E COMERCIO (ITALMAGNESIO). HOWEVER,
THE ITC NOTIFIED THE DEPARTMENT THAT RETROACTIVE ASSESSMENT OF
ANTIDUMPING DUTIES WAS NOT NECESSARY TO PREVENT RECURRENCE OF
MATERIAL INJURY FROM MASSIVE IMPORTS OVER A SHORT PERIOD. AS A
RESULT OF THE ITC'S NEGATIVE CRITICAL CIRCUMSTANCES
DETERMINATION, THE CUSTOMS SERVICE SHALL TERMINATE THE
RETROACTIVE SUSPENSION OF LIQUIDATION AND RELEASE ANY BOND OR
OTHER SECURITY AND REFUND ANY CASH DEPOSIT COLLECTED WITH RESPECT
TO ITALMAGNESIO'S FERROSILICON ENTERED, OR WITHDRAWN FROM
WAREHOUSE FOR CONSUMPTION PRIOR TO AUGUST 16, 1993.
6. THE CUSTOMS SERVICE SHALL CONTINUE TO SUSPEND LIQUIDATION OF
ALL ENTRIES OF FERROSILICON FROM BRAZIL THAT ARE ENTERED, OR
WITHDRAWN FROM WAREHOUSE, FOR CONSUMPTION ON OR AFTER AUGUST 16,
1993, THE DATE ON WHICH DOC PUBLISHED ITS PRELIMINARY
DETERMINATION NOTICE IN THE FEDERAL REGISTER (58 FR 43323). IN
ADDITION, ON OR AFTER MARCH 14, 1994, CUSTOMS OFFICERS SHALL
REQUIRE, AT THE SAME TIME AS IMPORTERS WOULD NORMALLY DEPOSIT
ESTIMATED DUTIES, THE FOLLOWING CASH DEPOSIT FOR THE SUBJECT
MERCHANDISE.

MANUFACTURER/PRODUCER/ IDENTIFICATION WEIGHTED-AVERAGE
EXPORTER NUMBER MARGIN PERCENTGAGE

COMPANHIA BRASILEIRA A-351-820-001 15.53%
CARBURETO DE CALCIO

ITALMAGNESIO S.A. A-351-820-002 88.86%
INDUSTRIA E COMERCIO

COMPANHIA FERROLIGAS MINAS A-351-820-003 3.46%
GERAIS

ALL OTHER EXPORTERS A-351-820-000 35.95%

7. WITH REGARD TO THE TEMPORARY RESTRAINING ORDER GRANTED TO
CBCC ON FEBRUARY 23, 1994, ON MARCH 8, 1994, THE COURT OF
INTERNATIONAL TRADE TERMINATED THE TEMPORARY RESTRAINING ORDER,
THUS PERMITTING THE COLLECTION OF CASH DEPOSITS FOR CBCC AT THE
RATES NOTED HEREIN ABOVE.

8. IF THERE ARE ANY QUESTIONS REGARDING THIS MATTER BY CUSTOMS
OFFICERS, PLEASE CONTACT THE TRADE COMPLIANCE DIVISION,
ANTIDUMPING AND COUNTERVAILING DUTY DIVISION BRANCH BY E-MAIL TO
ATTRIBUTE "HQ OAB." THE IMPORTING PUBLIC AND OTHER INTERESTED
PARTIES SHOULD CONTACT KIM HARDIN OF THE OFFICE OF ANTIDUMPING
INVESTIGATIONS, IMPORT ADMINISTRATION, INTERNATIONAL TRADE
ADMINISTRATION, U.S. DEPARTMENT OF COMMERCE,
TELEPHONE (202) 482-0371.

THERE ARE NO RESTRICTIONS ON THE RELEASE OF THIS INFORMATION.

NANCY MCTIERNAN